The Developer's Digest, Jan - Mar 2018 Issue

kpdadevelopers

The Developer’s

Digest

A Publication by the Kenya Property Developers Association

JANUARY - MARCH 2018 ISSUE

TOPIC OF THIS ISSUE:

Best Practices in the Kenyan

Construction Sector: What Every

Investor Should Know


KPDA Koroga Event

The Developer’s

Digest

A Publication by the Kenya Property Developers Association

JANUARY - MARCH 2018 ISSUE

3

26

Invitation to the KPDA Corporate Networking

KOROGA Event

#KorogaNaKPDA

Friday 4 th May 2018 at the Spice Roots Restaurant, Nairobi

An interactive and informal networking event!

WHERE: Spice Roots Restaurant

(Located along Forest Rd, Nairobi)

WHEN: Friday, 4 th May 2018

TIME:

6.00pm onwards

The Koroga will run from 6.00pm onwards. Drinks will be

served at a cash bar.

Message from the CEO

Focus on Policy

1

3

Have Your Say 13

KPDA Directory of Members 17

NCCG Building Permitting Approvals 42

Fatima Flats, Suite 4B

Marcus Garvey Road

Off Argwings Kodhek Rd

Nairobi, Kenya

Tel: + 254 737 530 290

+ 254 705 277 787

Email: admin@kpda.or.ke

Website: www.kpda.or.ke

KPDA SECRETARIAT

Chief Executive Officer

Elizabeth Mwangi – Oluoch

Membership Relations Officer

Cynthia Wakio

Finance and Membership Support Officer

Grace Hinga

Finance and Administrative Assistant

Marvin Kamata

Research Support Intern

Powell Gwena

36

KPDA BOARD MEMBERS

TICKETS FOR THE KOROGA (AUTOMATIC ENTRY INTO THE

RAFFLE COMPETITION)

Members Kshs. 2, 900 (incl. of VAT)

Non Members Kshs. 4, 060 (incl. of VAT)

THE DEADLINE TO RSVP (WITH PAYMENT) IS MONDAY 30 TH APRIL 2018. Kindly send your

confirmations to membership@kpda.or.ke and cc finance@kpda.or.ke.

NB:

- Please note that registration fees once paid are non-refundable and cannot be transferred

to cater for the cost of attending future events.

- Participants who attend this event without an RSVP will be surcharged at the door

- Non Members will not be allowed to participate in this event without prior payment

- Cancellations are only refundable if the secretariat is notified on email by no later than

Friday, 27 th April 2018

Britam Centre, Upper Hill.

DESIGN AND LAYOUT

InsyncMEDIA Limited

Devan Plaza . 1 st Floor . Suite 16

Chiromo Road, Waiyaki Way .

Westlands . Nairobi . Kenya

P.O. Box 9510 - 00100

Nairobi . Kenya

Landline: (+254) 0775551090

Email: info@insyncmedia.co.ke

INSYNC

MEDIA

LIMITED

Mucai Kunyiha

Chairman

Kenneth Luusa

Board Director

Palkesh Shah

Board Director

Gikonyo Gitonga

Board Director

Emma Achoki

Treasurer

Margaret Kibe

Board Director

George Wachiuri Caroline Karugu

Board Director Board Director

Anne Muchiri

Board Director

Hamish Govani

Immediate Past Chairman

Ravi Kohli

Board Director

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible


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Message from the CEO

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Happy Belated International

Women’s Day! ~ (8th March 2018)

I am about one month late, but better late than never.

Magazine

A painting by Julie Dillon - The daughter

of the daughter of my daughter.

KPDA wishes to

welcome our

newest members:

• Akarora Ltd

• Amazon Projects Ltd

• Amboseli Court Ltd

• Dahua Technology Kenya Ltd

• Fairdeal Developments and Infrastructure Ltd

• Golden Compass Ltd

• Hazelnut Kenya Ltd

• Kitchens and Beyond Ltd

• KumKang Kind East Africa Ltd

• Mlima Construction Company Ltd

• Sohail Developers Ltd

• Turner & Townsend

• Username Investments Ltd

Welcome to the

KPDA Family!

Welcome to the first issue of The Developer’s Digest

for the year 2018. We apologize that we were unable to

publish an issue in the last quarter of 2017 and hence

our last issue was for the period July to September 2017.

That being said, this issue is therefore packed within

even more information, facts, articles of interest and

updates on the Association. First on our agenda is

to invite you to our upcoming AGM and Corporate

Networking Koroga Events planned for Friday, 4th May

2018. Ensure that you attend and use the opportunity

to mingle with the management of KPDA, your fellow

members as well as other industry compatriots. Our

Koroga events are momentous and those who have

been at even one from the past can attest to this!

The focus of this issue is on construction

industry guidelines. Our very own member,

Oraro and Company Advocates give an

insightful read on ‘Best Construction

Practices in Kenya.’ There is also

an interesting read penned by the

Architectural Association of Kenya who

give a wholistic view of our sector.

As we grapple with the fact that we

are almost halfway through the year

(time flies too fast!), let us remember

that we should always be kind to

one another, even as we go about

the business of our businesses

(both personal and for own

sustenance).

Have a kindhearted and

compassionate month of

April.

Elizabeth

19 YEARS

of Publication

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to Advertise on

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• Property Listings

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Magazine advertising space from Kshs. 5,000

Cell: 0790 406 470

Email: sales@kenya-real-estate.com

Advertising on www.kenya-real-estate.com from Kshs. 1,000

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible


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Focus on Policy

Focus on Policy

Best Practices in the Kenyan

Construction Sector: What

Every Investor Should Know

Recent media

reports of

collapsed

structures, often

involving the

loss of life, are

equally alarming.

Such incidences are

often attributed

to poor designs

and defective

construction

works

The international publishing, research and consultancy firm Oxford Business Group

recently observed in the Construction & Real Estate chapter of The Report: Kenya

2017 that the construction industry has been “accelerating at a rapid pace and

making a substantial contribution to the country’s strong GDP growth figure”

amid rising demand for residential developments.

Be that as it may, homebuyers continue to face a number of risks ranging

from delays in completion and handing over of construction projects, poor

and defective workmanship and encumbrances on land titles to false

representations, fraud and extortion by unscrupulous developers and other

actors in the real estate and construction industry.

Recent media reports of collapsed structures, often involving the loss of

life, are equally alarming. Such incidences are often attributed to poor

designs and defective construction works but other culprits include

cost-cutting and use of substandard materials, non-compliance with

construction requirements, lack of quality control and incompetence.

This list is not exhaustive and there are many other issues that could

seriously affect the use and enjoyment of property.

This begs the question: what are the remedies available to

homebuyers in such cases and what steps can they take to

minimize the risks?

CONSUMER PROTECTION

Kenyan law appreciates the Latin principle of caveat

emptor, which places the onus on the buyer to uncover

potential issues, and the principle of freedom of

contract, which dictates that parties are free to enter

into binding contracts on their own terms with limited

outside interference.

Nevertheless, the law acknowledges that it remains

necessary to police market failures and insufficiencies such

as inequalities in bargaining power between consumers and

suppliers of goods and services. For instance, homebuyers

may not be as sophisticated as contractors and developers in

matters of construction and are therefore in need of protection.

CONSTITUTION OF KENYA

The Constitution of Kenya, 2010 (the Constitution)

recognises that consumer rights are human rights

that can be legally enforced. In particular, article

46 provides that consumers have the right to

goods and services of reasonable quality and the

right to information necessary to gain full benefit

from such goods and services. Further, consumers

are entitled to the protection of their health, safety

and economic interests and to compensation for

loss or injury arising from defects in goods and

services. This provision is considered a notable

milestone for consumer protection in the country.

Pursuant to these express constitutional

provisions, homebuyers may sue for damages

with respect to goods and services provided by

financiers, estate agents, contractors and other

actors in the construction industry. It should be

noted, however, that the Kenyan courts have

been reluctant to apply the Constitution directly

to private bodies and individuals where specific

legislation exists that addresses the issues raised.

CONSUMER PROTECTION ACT

Part II of the Consumer Protection Act, 2012

(the Act) has indeed given consumers a wide

range of rights, including the right to full precontractual

information to enable them make

informed decisions, the right to raise a complaint

with regards to quality, delays in provision of

rectification and the price of goods and services,

and the right to cancel the agreement.

Consumers are also empowered under the Act to

cancel agreements and sue for damages where a

service provider engages in unfair practices, which

include making false, misleading or deceptive

representations.

Representing that goods or services have

certain characteristics that they do not have or

representing that goods or services are of a

particular standard or quality when they are not

are all considered unfair practices and in such

instances, the court is expressly permitted to

award exemplary or punitive damages in addition

to any other remedy that will have been available

to the consumer.

A notice is required where the consumer intends

to rescind the agreement or to seek other forms

of relief. The notice can be made verbally or in

writing and may be expressed in any way as long

as it sets out the reasons relied upon and complies

with any requirements that may be prescribed.

A major benefit of the Act is that it provides

a low-cost mechanism for consumers to

redress any wrongs inflicted on them

without the need to go to court. However,

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible


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Focus on Policy

Focus on Policy

Best Practices in the Kenyan Construction Sector:

What Every Investor Should Know

The Act only protects consumers of goods and

services.

The term “consumer” includes:

• A person to whom particular goods or

services are marketed in the ordinary course

of the supplier’s business;

• A person who has entered into a transaction

with a supplier in the ordinary course of the

supplier’s business; and

• A user of particular goods or a recipient or

beneficiary of particular services, irrespective

of whether that user, recipient or beneficiary

was a party to a transaction concerning the

supply of those particular goods.

A supplier is defined as a person who is in the

business of supplying goods or services and

includes an agent of the supplier or any person

who holds himself out to be a supplier or an agent

of the supplier.

Homes are not legally recognised as goods and

are usually purchased from private homeowners

who are not in the business of selling homes and

who would therefore not qualify as suppliers.

Thus, the average homebuyer may not always be

able to rely on the provisions of the Act. But this

is not necessarily the case where the homebuyer

is dealing with professional developers who

are in the business of selling properties and

the agents of such developers. There are other

low-cost avenues that homebuyers may pursue

under various statutes, including the National

Construction Authority Act, the Estate Agents Act

and the Competition Act.

NATIONAL CONSTRUCTION

AUTHORITY ACT

The construction industry is principally regulated

by the National Construction Authority Act, 2011

(the Act) which provides for the establishment,

powers and functions of the National Construction

Authority (the Authority) and connected purposes.

The Authority oversees the construction industry

and coordinates its development. The Authority’s

further mandate of accrediting, registering

and regulating professional undertakings of

contractors is aimed at ensuring that consumers of

construction industry services are protected from

exploitation and unfair practices.

The Authority has the responsibility of detecting

errant behaviours, responding to the same and

enforcing the National Construction Authority

regulations in the interest of justice. The

regulations require that contractors, whether

foreign or local, be registered under the category

of construction works they propose to undertake.

Additionally, the National Construction Authority

Act, 2011 establishes a Board of the Authority (the

Board) with powers to inquire into the conduct

of a contractor on its own initiative and sets out

suspension conditions for contractors. Consumers

may also forward complaints to The Authority for

appropriate action.

Such complaints are made to the Board in writing

to enable the Board investigate and prosecute

the case. The Board proceeds to investigate and

prosecute the case. The Act also establishes the

Appeals Board which makes rules concerning

the filing, hearing and disposal of appeals.

While parties should ordinarily exhaust all the

appeal avenues under the Act before resorting

to court, this does not operate to limit the court’s

jurisdiction.

ESTATE AGENTS ACT

Another statute that polices the Kenyan

construction industry is the Estate Agents Act,

2010, (the Act). The Act establishes the Estate

Agents Registration Board, which is charged with

the responsibility of registering estate agents and

ensuring that the conduct of practicing agents

is of a sufficiently high standard to ensure the

protection of the public, including homebuyers.

The Act sets out the qualifications and process

required to register as an estate agent and

prohibits unauthorised practice. Estate agents

also owe clients fiduciary duties that include

acting in the client’s best interest and disclosing

to all concerned in whose interest one is acting.

These duties are geared towards ensuring that

homebuyers are protected against unscrupulous

intermediaries. While an estate agent’s main duty

is to the vendor, some of the issues that arise in this

context is the agent not telling homebuyers about

issues with the home that they know of or ought to

have known about, including misleading or false

statements that are made regarding properties

offered for sale.

This is in breach of the Act, which prohibits

dishonest practices and makes it a criminal

offence to knowingly and wilfully make any

statement, oral or written, which is false in any

material way or misleading with a view to gaining

an advantage or privilege under the Act whether

for himself or for another. The Board is permitted

under Part VI of the Act to institute an inquiry

into an act or omission of an estate agent that is

Estate agents also owe

clients fiduciary duties

that include acting in

the client’s best interest

and disclosing to all

concerned in whose

interest one is acting.

These duties are geared

towards ensuring

that homebuyers are

protected against

unscrupulous

intermediaries.

contrary to the public interest or the professional

misconduct of estate agents on receipt of a

complaint. If found guilty, the Board may suspend

the estate agent’s registration, caution the

individual, impose a fine or order that the name of

the individual to be deleted from the register.

The Act is currently under review and there is an

ongoing push for the establishment of a code of

conduct for real estate agents to eliminate fraud

and restore public confidence. This is particularly

true for investors in the diaspora who have fallen

victims to scams by unscrupulous agents and

fraudsters.

COMPETITION ACT

The Competition Act, 2010 works in line with the

existing consumer protection laws. It establishes

the Competition Authority of Kenya

(CAK) whose mandate is to enforce the

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Focus on Policy

Focus on Policy

Best Practices in the Kenyan Construction Sector:

What Every Investor Should Know

Further, in offplan

purchases,

the homebuyer is

usually provided with

building plans and

specifications of what

the developer intends

to build including

floor plans and a

schedule of finishes for

the property.

Competition Act with the objective of enhancing the welfare

of the Kenyan consumers by promoting and protecting

effective competition in markets, including the construction

sector, and preventing misleading market conduct.

A consumer may file a complaint with the CAK. However,

prior to doing so, the consumer should attempt to settle any

issues with the supplier of goods or service provider. This

might be done via a telephone call, a complaint letter or a

face to face meeting. The consumer should be prepared to

furnish the supplier with any documentation that the supplier

requires to assess the claim and the appropriate remedy.

This will also serve as proof that the matter was raised with

the supplier and could form the basis of a formal complaint

to the Competition Authority. If the complaints mechanisms

under the various statutes outlined above do not resolve the

issues, the only avenue may be going to court. This may

involve considerable expenses and the court process may

take time. It is therefore essential that homebuyers carry out

sufficient due diligence to avert some of the avoidable risks.

BEST PRACTICES

It is recommended that prospective homebuyers only deal

with duly registered and accredited players in the industry

and enlist the services of professionals such as lawyers,

valuers and surveyors to safeguard their interests.

Background Checks

Prospective homebuyers have the option of purchasing

property before construction begins or during the

construction period. These are commonly known as “offplan”

purchases. The benefits of buying off-plan include

discounted sale price, flexibility in terms of payment

plans, low initial capital outlay and property appreciation.

However, due to complex nature of off-plan purchases, it is

important to perform background checks on the developer.

Homebuyers should ensure that they review the company’s

website and obtain information on the developer’s

completed and ongoing projects.

Prospective homebuyer may wish to look into who the

directors are and can access online forums to find out if

other investors have had negative experiences with the

developer. They should also request for the registration

number of the contractors that have been hired to construct

the property and conduct a check on them as well to

determine whether they hold a valid license if there are

any conditions on the license, and the outcome of any

disciplinary actions or prosecutions. Further, in off-plan

purchases, the homebuyer is usually provided with building

plans and specifications of what the developer intends

to build including floor plans and a schedule of

finishes for the property. These plans may not

yet be approved, which makes them subject to

change, and it is not uncommon for the developer

to retain the right to alter the plans and finishes in

the sale agreement. Homebuyers should therefore

carefully review these documents before signing

and ensure that they are satisfied with the level

of disclosure provided and the standards of the

finishes. Prospective purchasers should also check

that the real estate agents they are dealing with are

duly registered.

Home Inspections

Homebuyers should carry out the necessary due

diligence that would enable them to detect all patent

defects in the property. Patent defects are those

that are not hidden and should easily be discovered

by a reasonable inspection. It is thus recommended

that prospective homebuyers hire an independent

expert to inspect the property before proceeding

with the transaction. While home inspections can be

expensive, a home inspection report would reveal

the true physical condition of the property and help

ensure that the transaction is fair.

Furthermore, it is highly recommended that

homebuyers only accept clauses in standard sale

agreements which provide that the property is sold

“as is” if the vendor agrees to make the sale subject

to a satisfactory home inspection. This would give

the purchaser the option to withdraw or re-negotiate

the contract if the home inspection report reveals

defects in the property.

On the other hand, while latent defects or faults

that would not be readily revealed by a reasonable

inspection ought to be disclosed by the vendor,

there is no automatic right for a purchaser to claim

against the vendor when they are discovered. In the

instance of a development, the lease will usually

provide a period within which to claim for latent

defects and if a claim is not received within the

period stipulated, the right to seek relief from the

developer lapses. When buying an existing home,

the prospective homebuyer cannot claim from the

vendor absent an agreement in the contract.

Property Valuations

Homebuyers should seriously consider obtaining an

independent valuation of the property they intend to

purchase rather than relying on the representations

of the vendor. The valuation report will usually

contain detailed information on the property and

comparisons with other similar properties. The

report will also set out the sale value of the property,

which can guide homebuyers in determining what

they should be paying.

Valuations may also forestall real estate related

risks by revealing whether the property is on a

road reserve, riparian reserve or government land.

The Valuers Registration Board is responsible for

all valuation matters including professional fees to

be charged under the Valuers Act, 2000. Valuers

must adhere to the scale of fees provided under

the Act and homebuyers may seek relief through

the Institute of Surveyors of Kenya if the valuer

engages in professional misconduct in relation to

the fees charged.

However, one of the issues with off-plan purchases

is that the value of off-plan properties can be

artificially increased to cater for commissions to

the vendor’s agents and project marketers and

other up-front costs. Furthermore, homebuyers

do not have any means of comparing the property

to similar properties in the market. In these

circumstances, it is recommended that homebuyers

investigate the price of comparable established

developments to determine whether the price has

been inflated.

Professional Legal Advice

The courts have found that where an offer for sale

is subject to contract, the onus is on the purchaser

to make sure that the proper enquiries are carried

out. This makes it essential for homebuyers to bring

lawyers on board and seek their advice prior to

signing the sale agreement. This is especially true

for off-plan sale contracts which are drafted quite

differently to standard contracts.

The lawyer’s role is to ensure that the purchaser’s

interests are protected and he or she ends up

with a good title to the property by conducting the

relevant searches and advising on provisions of the

contract documents that may be prejudicial to the

purchaser.

Financial Advice

For off-plan purchases that are being financed, the

financier will usually disburse the loan in trenches

as the project progresses. This is to ensure that

the loan amount is not misapplied or wasted if

the project is delayed or fails to complete. The

risk to the borrower is that he is still required to

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible


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Focus on Policy

Best Practices in the Kenyan Construction Sector:

What Every Investor Should Know

repay the principal amount with interest at the agreed intervals. A further

risk is if the borrower’s income changes to the extent that the monthly

loan repayments are no longer affordable. If the interest rate is variable,

any increase down the road could also impact the borrower’s ability to

service the loan. This is just the tip of the iceberg and there are many

other financial risks to consider. It is therefore highly recommended that

prospective homebuyers obtain proper financial advice prior to investing.

Homebuyers who intend to borrow should also use the time between the

initial deposit and completion of the project to build savings, which can be

used to pay back the loan in the event that their circumstances change.

CONCLUSION

The advancement in the level of consumer protection in Kenya over

the years is laudable and supports the construction industry’s efforts to

restore and maintain public confidence. We have also seen the formation

of various consumer focused agencies such as the Consumer Federation

of Kenya (COFEK) whose primary purpose is to promote consumer

rights and ensure that consumers get value for their money. COFEK,

for instance, will intervene on behalf of consumers and will protect

them against unfair practices. Homebuyers also have a role to play in

ensuring that their interests are adequately protected and should give due

consideration to all available options and determine what works best for

them.

AUTHOR

Name: Angela Ogang

Company: Oraro & Company Advocates

Position Associate

Tel +254 271 3 636/271 1 480

Email angela@oraro.co.ke

Address ACK Garden Annex, 6th floor,

1st Ngong Avenue, Nairobi, Kenya,

P. O. Box 51236-00200, Nairobi, Kenya

DISCLAIMER

The information in this article is for general purposes

and guidance only and does not constitute legal or

professional advice. For further information on this

publication, contact insights@oraro.co.ke

BIO

Angela is a bilingual

(English/French)

international lawyer with an

understanding of complex

legal issues and the ability to

frame effectively for clients and

executive teams.

She has a wealth of experience

structuring, drafting and negotiating

a wide range of agreements for

business partners locally and abroad

and was involved in M&A, Risk

Management and Compliance activities

while engaged in the financial services

sector. Angela specialises in real estate

and conveyancing, banking and commercial

law and is a member of the firm’s

newsletter editorial committee.

The Developer’s

Digest

A Publication by the Kenya Property Developers Association

The Developer’s Digest is a

quarterly e-newsletter supported

and published by the Kenya

Property Developers Association

and designed by Insync MEDIA

Ltd. It targets the various

players in the property industry

in Kenya and highlights a wide

spectre of issues affecting our

members, other professionals,

manufacturers and both private

and public sector players

in the industry. We seek to

encourage positive dialogue and

development

The Developer’s Digest is

filled with current industry news,

updates on the Association’s

ongoing activities, views,

interesting facts and specialty

advertising messages.

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2018 KPDA CALENDAR OF EVENTS

II. KPDA WORKSHOP

About the Event: Technical Training and

Discussion on a local or global real estate

topic

Event Organizer: Kenya Property

Developers Association

Event Timing: 8.30am – 1.00pm

Target Audience: Middle to high level

management from KPDA membership

Target Number: 80 – 100 pax

Registration/Attendance Fees: To be

advised

Target Number: 90 – 120 pax

Registration/Attendance Fees: Kshs. 3, 700

inclusive of VAT (KPDA Members) and Kshs. 5,

500 inclusive of VAT (Non KPDA Members)

Opportunity for Sponsorship: Open and to

be advised

IV. KPDA KOROGA EVENTS

About the Event: Informal corporate

2018 KPDA CALENDAR OF EVENTS

networking event for guests to socialize and

interact

Event Organizer: Kenya Property Developers

Association

Event Organizer: Kenya Property Developers

Association

Event Timing: To be advised

Target Audience: Public and KPDA

12

membership

Target Number: To be advised

Registration/Attendance Fees: To be advised

Opportunity for Sponsorship: Open and to

be advised

DATE EVENT DETAILS ORGANIZER LOCATION EVENT SPONSOR

Tuesday, 27 th March 2018 KPDA Workshop (8.30am – 1.00pm)

Theme: ‘Innovative Finance in

Kenya’

KPDA

Tel: 0705 277 787/0737 530 290

ParkInn by Radisson

Hotel, Nairobi

RHOMBUS

March/April 2018

Nairobi/Kiambu/Kajiado/Machakos City

County Government/KPDA Roundtable

Meetings

13 th – 14 th March 2018 Inaugural SPACE

(Sustainable Properties Africa) Conference

KPDA

Tel: 0705 277 787/0737 530 290

Sally Marwaha – Event Director

Email:

sally.marwaha@benchevents.com

Tuesday, 10 th April 2018 KPDA Roundtable with KRA KPDA

Tel: 0705 277 787/0737 530 290

24 th – 25 th April 2018 East African Property Investment

Kfir Rusin – Managing Director

Summit (EAPI)

Email: krusin@apievebts.com

Friday, 4 th May 2018 6 th KPDA AGM and Koroga Event KPDA

(6.00pm onwards)

Tel: 0705 277 787/0737 530 290

Kajiado County

Offices, Kajiado

Radisson Blue Hotel,

Nairobi

To be Confirmed

Radisson Blue Hotel,

Nairobi

Spice Roots Restaurant

KPDA

SPACE

KPDA

EAPI

OPEN TO

SPONSORSHIP

DATE EVENT DETAILS ORGANIZER LOCATION EVENT SPONSOR

Tuesday, 27 th March 2018 KPDA Workshop SPONSORSHIP (8.30am – 1.00pm) CATEGORIES KPDA AND BENEFITS ParkInn by Radisson RHOMBUS

Theme: ‘Innovative Finance in

WHY SHOULD YOU PARTNER Kenya’ WITH KPDA?

Tel: 0705 277 787/0737 530 290 Hotel, Nairobi

Attendance March/April at 2018 our events ranges Nairobi/Kiambu/Kajiado/Machakos from between 60 to 150 participants City drawn KPDA from both our membership, non-members Kajiado and County our partners KPDA

All our events are professionally County managed, Government/KPDA well organized with Roundtable industry experience Tel: 0705 and 277 a proven 787/0737 platform 530 290 for engagement Offices, Kajiado

Access to expert content and speakers Meetings from both the industry and its stakeholder organizations

Opportunity 13 th – 14 th March for networking 2018 with Inaugural like-minded SPACE building and construction professionals

Sally Marwaha – Event Director Radisson Blue Hotel, SPACE

(Sustainable Properties Africa) Conference Email:

Nairobi

Provision of excellent business development platforms for your company to receive exposure

sally.marwaha@benchevents.com

Further

Tuesday,

exposure

10 th April

for

2018

your brand

KPDA

through

Roundtable

the various

with

media

KRA

channels

KPDA

To be Confirmed

Access to information that will bridge the gap between your company and the Tel: rest 0705 of Kenya 277 787/0737 530 290

KPDA

24 th – 25 th April 2018 East African Property Investment

Kfir Rusin – Managing Director Radisson Blue Hotel, EAPI

For more information on the KPDA Summit 2018 Calendar (EAPI) of Events, please email ceo@kpda.or.ke Email: krusin@apievebts.com

or call 0705 277 787 or Nairobi 0737 530 290.

Friday, 4 th May 2018 6 th KPDA AGM and Koroga Event

(6.00pm onwards)

KPDA

Tel: 0705 277 787/0737 530 290

Spice Roots Restaurant OPEN TO

SPONSORSHIP

Tuesday, 22 nd May 2018

Tuesday 26 th June 2018

KPDA CEO Breakfast Forum (7.00am

– 9.30am)

Theme: ‘Alternative Building Technology:

Pros and Cons’

KPDA Conference on Affordable

Housing

KPDA

Tel: 0705 277 787/0737 530 290

KPDA

Tel: 0705 277 787/0737 530 290

June/August 2018 National REITs Conference REITs Association of Kenya

(RAK)

c/o Nairobi Securities Exchange

Tel: 020 2831000

Tuesday, 21 st August 2018

September 2018

KPDA CEO Breakfast Forum (7.00am

– 9.30am)

Theme: ‘Infrastructure for Kenya’s

Economic Development’

KPDA Exhibition on Affordable

Housing

KPDA

Tel: 0705 277 787/0737 530 290

KPDA

Tel: 0705 277 787/0737 530 290

To be Confirmed,

Nairobi

Safari Park Hotel,

Nairobi

To be Confirmed

To be Confirmed,

Nairobi

To be Confirmed,

Nairobi

OPEN TO

SPONSORSHIP

OPEN TO

SPONSORSHIP

RAK

OPEN TO

SPONSORSHIP

OPEN TO

SPONSORSHIP

Tuesday, 22 nd May 2018 KPDA CEO Breakfast Forum (7.00am KPDA

To be Confirmed,

– 9.30am) CATEGORIES Tel: AND 0705 BENEFITS

277 787/0737 530 290 Nairobi

PLATINUM: KSHS. 500, 000 Theme: ‘Alternative Building Technology:

Pros and Cons’

BENEFITS: Tuesday 26 th June 2018 KPDA Conference on Affordable KPDA

Safari Park Hotel,

Event Brochure: Your organization’s Housing name will appear in all brochures (if produced). Tel: 0705 277 787/0737 530 290 Nairobi

Newspaper Advertisements: Your organization will get prominent sponsor name recognition in all event press releases if published.

June/August Event Program 2018 and Announcement: National REITs Your Conference organization’s name will be listed REITs in the Association event’s program of Kenya and will be recognized To be Confirmed as a sponsor.

Complimentary Advertisements:

(RAK)

c/o Nairobi Securities Exchange

- KPDA Website: Your organization’s name will be listed on the KPDA website

Tel: 020

as a

2831000

sponsor for the period

Tuesday, of one 21 st (1) August year 2018 KPDA CEO Breakfast Forum (7.00am KPDA

To be Confirmed,

Complimentary advertisement – 9.30am) in one issue of the KPDA E-Newsletter Tel: 0705 277 787/0737 530 290 Nairobi

The opportunity to include literature Theme: at the ‘Infrastructure event and get for two Kenya’s (2) tables to display your organization’s products

Branding within and outside the Economic room Development’

September Opportunity 2018 for a presentation KPDA Exhibition on Affordable KPDA

To be Confirmed,

Complimentary attendance of six Housing (6) staff representatives

Tel: 0705 277 787/0737 530 290 Nairobi

OPEN TO

SPONSORSHIP

OPEN TO

SPONSORSHIP

RAK

OPEN TO

SPONSORSHIP

OPEN TO

SPONSORSHIP

Friday, 12 th October 2018

Friday, 27 th November

2018

I. COUNTY ROUNDTABLE

MEETINGS

About the Meeting: Discussion on the

engagement of KPDA members with the

various county governments

Meeting Organizer: Kenya Property

Developers Association

Meeting Time Frame: 2 hours

Target Audience: High level

management/decision makers from KPDA

membership

Target Number: 20 – 25 pax

Registration/Attendance Fees: NIL

Opportunity for Sponsorship: NIL

II. KPDA WORKSHOP

About the Event: Technical Training and

Discussion on a local or global real estate

topic

Event Organizer: Kenya Property

Developers Association

Event Timing: 8.30am – 1.00pm

Target Audience: Middle to high level

management from KPDA membership

Target Number: 80 – 100 pax

Registration/Attendance Fees: To be

advised

KPDA Corporate Networking Koroga

Event (6.30pm onwards)

KPDA CEO Breakfast Forum (7.00am

– 9.30am)

Theme: ‘The Role of Ethics in Running a

Successful Business in Kenya’

KPDA

Tel: 0705 277 787/0737 530 290

KPDA

Tel: 0705 277 787/0737 530 290

EVENT DESCRIPTION

Opportunity for Sponsorship: Open and to

be advised

III. CEO BREAKFAST FORUMS/CEO

MORNING LEARNING SESSIONS

About the Event: Discussion on policy matters

and advocacy of real estate issues

Event Organizer: Kenya Property Developers

Association

Event Timing: 7.30am – 9.30am/7.30am

11.00am

Target Audience: High level

management/decision makers from KPDA

membership

Target Number: 90 – 120 pax

Registration/Attendance Fees: Kshs. 3, 700

inclusive of VAT (KPDA Members) and Kshs. 5,

500 inclusive of VAT (Non KPDA Members)

Opportunity for Sponsorship: Open and to

be advised

IV. KPDA KOROGA EVENTS

About the Event: Informal corporate

networking event for guests to socialize and

interact

Event Organizer: Kenya Property Developers

Association

To be Confirmed,

Nairobi

To be Confirmed,

Nairobi

OPEN TO

SPONSORSHIP

OPEN TO

SPONSORSHIP

Event Timing: 6.30pm onwards

Target Audience: High level

management/decision makers from KPDA

membership

Target Number: 120 – 150 pax

Registration/Attendance Fees: Kshs. 2,

820 inclusive of VAT (KPDA Members) and

Kshs. 3, 980 inclusive of VAT (Non KPDA

Members)

Opportunity for Sponsorship: Open and to

be advised

V. KPDA CONFERENCE

About the Event: To be advised

Event Organizer: Kenya Property Developers

Association

Event Timing: To be advised

Target Audience: Public and KPDA

membership

Target Number: To be advised

Registration/Attendance Fees: To be advised

Opportunity for Sponsorship: Open and to

be advised

GOLD: Friday, KSHS. 12 th October 350, 000 2018

KPDA Corporate Networking Koroga

Event (6.30pm onwards)

KPDA

Tel: 0705 277 787/0737 530 290

To be Confirmed,

Nairobi

OPEN TO

SPONSORSHIP

BENEFITS:

Friday, Complimentary 27 th November KPDA Website KPDA Advertisements: CEO Breakfast Forum Your organization’s (7.00am name KPDA will be listed on the KPDA website To as be an Confirmed,

event sponsor for the OPEN period TO of

2018 marketing the event – 9.30am)

Tel: 0705 277 787/0737 530 290 Nairobi

SPONSORSHIP

Event Announcement: Your Theme: organization ‘The Role will be of recognized Ethics in Running as a sponsor. a

Complimentary attendance of three Successful (3) staff Business representatives in Kenya’

Branding within and outside the room

Opportunity for a presentation

EVENT DESCRIPTION

One table to display products

SILVER:

I. COUNTY

KSHS. 200,

ROUNDTABLE

000

Opportunity for Sponsorship: Open and to

Event Timing: 6.30pm onwards

MEETINGS

be advised

Target Audience: High level

BENEFITS:

management/decision makers from KPDA

Complimentary About the Meeting: Website Discussion Advertisements: on the Your organization’s III. CEO BREAKFAST name will be FORUMS/CEO

listed on the KPDA website as an membership event sponsor for the period of

engagement of KPDA members with the

MORNING LEARNING SESSIONS

Target Number: 120 – 150 pax

marketing the event

various county governments

Registration/Attendance Fees: Kshs. 2,

Branding within and outside the room

Meeting Organizer: Kenya Property

About the Event: Discussion on policy matters

820 inclusive of VAT (KPDA Members) and

Opportunity for a presentation

Developers Association

and advocacy of real estate issues

Kshs. 3, 980 inclusive of VAT (Non KPDA

Complimentary

Meeting Time

attendance

Frame: 2

of

hours

two (2) staff representatives

Event Organizer: Kenya Property Developers

Members)

Target Audience: High level

Association

Opportunity for Sponsorship: Open and to

BRONZE: Kshs. 100, 000

management/decision makers from KPDA

Event Timing: 7.30am – 9.30am/7.30am

be advised

membership

11.00am

BENEFITS:

Target Number: 20 – 25 pax

Target Audience: High level

V. KPDA CONFERENCE

Branding

Registration/Attendance

outside the room

Fees: NIL

management/decision makers from KPDA

Mention

Opportunity

as a sponsor

for Sponsorship: NIL

membership

About the Event: To be advised

Complimentary attendance of one (1) staff representative

Target Number: 90 – 120 pax

Event Organizer: Kenya Property Developers

II. KPDA WORKSHOP

Registration/Attendance Fees: Kshs. 3, 700

Association

*KPDA PREMIUM MEMBERS ARE ENTITLED TO A 15% DISCOUNT OFF SELECTED CATEGORIES

inclusive of VAT (KPDA Members) and Kshs. 5,

Event Timing: OF SPONSORSHIP

To be advised

For About more information the Event: on Technical the KPDA Training 2018 Calendar and of Events, 500 please inclusive email ceo@kpda.or.ke of VAT (Non KPDA or call Members) 0705 277 787 or 0737 530

Target

290.

Audience: Public and KPDA

Discussion on a local or global real estate

Opportunity for Sponsorship: Open and to

membership

topic

be advised

Target Number: To be advised

Event Organizer: Kenya Property

Registration/Attendance Fees: To be advised

Developers Association

IV. KPDA KOROGA EVENTS

Opportunity for Sponsorship: Open and to

Event Timing: 8.30am – 1.00pm

be advised

Target Audience: Middle to high level

management from KPDA membership

Target Number: 80 – 100 pax

Registration/Attendance Fees: To be

advised

About the Event: Informal corporate

networking event for guests to socialize and

interact

Event Organizer: Kenya Property Developers

Association

SPONSORSHIP CATEGORIES AND BENEFITS

WHY SHOULD YOU PARTNER WITH KPDA?

Attendance at our events ranges from between 60 to 150 participants drawn from both our membership, non-members and our partners

All our events are professionally managed, well organized with industry experience and a proven platform for engagement

Access to expert content and speakers from both the industry and its stakeholder organizations

Opportunity for networking with like-minded building and construction professionals

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

SPONSORSHIP CATEGORIES AND BENEFITS

WHY SHOULD YOU PARTNER WITH KPDA?

Attendance at our events ranges from between 60 to 150 participants drawn from both our membership, non-members and our partners

All our events are professionally managed, well organized with industry experience and a proven platform for engagement

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

Access to expert content and speakers from both the industry and its stakeholder organizations

Opportunity for networking with like-minded building and construction professionals


13

HAVE YOUR SAY

STATUS OF THE

REAL ESTATE

HAVE YOUR SAY

14

BUILT ENVIRONMENT

December

2017

• Prime residential rents in Nairobi declined

over the 1st half of 2017 albeit at a slower

rate of -2.75% compared to -4.36% over the

first half of 2016. The decline was resultant

of an oversupply and corporate budget cuts

by multinationals.

• Prime residential prices decreased by 0.9%

over the 1st half of 2017 compared to an

increase of 1.3% over the same period in

2016. Prevailing market conditions, high

capital values of prime residential homes

and the introduction of interest rate capping

during the 2nd half of 2016 led to most

financial institutions being reluctant to lend

to private individuals

• Nairobi experienced a 2% decline in the

absorption of office space in the 1st half of

2017 compared to the 2nd half of 2016

The anticipated release of approximately

240,000 sqm of office space in Nairobi in

2017, up from about 210,000 sqm in 2016,

is expected to continue exerting a downward

pressure on rents in the short term

The 1st half of 2017 saw logistic parks

gaining momentum, responding to the

growing demand for high quality international

standard warehousing space with modern,

high-specification facilities to suit varied

occupiers.

The migration of industrial firms to satellite

towns is attributed to availability of affordable

land for development, improved infrastructure,

the need for more space for storage, expansion,

parking and circulation and cheaper rents.

240,000 sqm

release of office space in Nairobi in

2017

STATUS OF THE BUILT ENVIRONMENT • ISSUE NO. 1 • DECEMBER 2017

The construction sector is a key

driver of economic growth in Kenya.

It contributes at least 7% of GDP.

Compared to other GDP economic

contributors, it is important to

note that the construction sector

recorded the biggest increase in

contribution to GDP, gaining 0.4% of

the share.

The construction sector contributes

economic growth in Kenya

7 % of GDP

0.4

STATUS OF THE BUILT ENVIRONMENT • ISSUE NO. 1 • DECEMBER 2017

The Kenya National Bureau of Statistics highlights that:-

In Q1 (January to April 2017), the construction sector experienced a slowdown

expanding 8.4% compared to 10.2% over the same period in 2016. The decreased

growth in the sector was a consequence of significantly scaled-down activities in

construction of Phase 1 of the Standard Gauge Railway (SGR) as it neared completion.

Construction sector recorded the

biggest increase per share

%

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

LAND

Land prices within the Nairobi

Metropolis, especially in the satellite

towns such as Thika, Ruiru and

Murang’a, continued to be on an

upward trend, backed by improved

infrastructure and urban population

growth.

INVESTOR AND DEVELOPER SCENE

Investors spent

Sh

107.2 B

On residential led developments

Compared to

Sh

61 b

Invested in commercial development

Galvanized iron

145.1 M

Tonnes consumed in the first seven months

of 2017

Compared with

155 M

Tonnes consumed in the first seven months

of 2016

• Residential developments led in investment.

Investors spent KSh88.6 billion during the

first seven months of 2017, compared

with KSh61 billion invested in commercial

development

• According to the Kenya National Bureau of

Statistics (KNBS). This was a drop compared

to 2016 when Sh107.2 billion was spent on

residential development and Sh76 billion on

commercial development.

• 145.1 million tonnes of galvanized iron

sheets were consumed in the first seven

months of 2017 compared with 155 million

in 2016, indicating a slowdown informed by

reduced activity as investors adopted a waitand-see

attitude in the run-up to the August

8th General election.

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

STATUS OF THE BUILT ENVIRONMENT • ISSUE NO. 1 • DECEMBER 2017


15

POLICY

HAVE YOUR SAY

National Construction Authority

Made it mandatory for foreign

contractors to work with local

contractors by ceding at least

• NCA, NEMA and Land Rate Fees

were scrapped off

The National Construction

Authority (NCA) made it

mandatory for foreign

contractors to work with local

contractors by ceding at least

30% of the contract sum. This

is in a bid to cushion local

contractors from their foreign

counterparts.

INFRASTRUCTURE

The Kenya 2017/2018 National Budget

Statement announced that the government

would invest KSh640.8 billion in infrastructure

development, up from KSh415.7 billion in the

2016/2017 fiscal year.

30 % Sh

640.8 B

CONTRACT

SUM

a. Urban mobility

Ministry of Transport, Infrastructure,

Housing and Urban Development through

the Nairobi Metropolitan Area Transport

Authority (NaMATA) is currently designing

a Rapid Bus Transit (BRT) for the larger

Nairobi Metropolitan area for a sustainable

urban mobility.

b. National Spatial Plan

We have a National Spatial Plan 2015-

2045. This plan will guide the sustainable

management of land resources in this

country as well as development and

implementation of county plans. This will

align the use of the land with the resources

available at the county level for social and

economic development.

National Budget Statement

Government would invest in

infrastructure development

STATUS OF THE BUILT ENVIRONMENT • ISSUE NO. 1 • DECEMBER 2017

NO. OF PROJECTS ACCORDING

TO CLIENT TYPES

HAVE YOUR SAY

0.04% - CDF

0.6% - County

Government

5.1% - Religious/

Social Organisations

2% - Parastatal/

Governmenr

Agencies

92.3% - Private

NO. OF PROJECTS ACCORDING

TO TYPE OF WORKS

97.9% - Building Works

16

PROJECTS COST RANGE

0.4% - Electrical Works Below KSh5 million

0.07% - Mechanical Works

KSh5 to 50 million

0.59% - Office

KSh50 to 200 million

0.59% - Others

KSh200 to 500 million

0.22% - Road Works

Above Sh1 billion

0.3% - Water Works

KSh500 million to 1 billion

STATUS OF THE BUILT ENVIRONMENT • ISSUE NO. 1 • DECEMBER 2017

According to KNBS

The value of approved

buildings declined by

BUILDING PERMIT APPROVALS

From the Kenya National Bureau of Statistics (KNBS), the value of approved

buildings declined by 16.3% in between January and May from KSh126.3

billion in 2016 to KSh 105.7 billion in 2017.

Residential building approvals declined by 28.2% from KSh74.2 billion in

2016 to KSh58.1 billion in 2017 with commercial office building approvals

declining by 9.3% from KSh52 billion in 2016 to KSh47.6 billion in 2017.

Residential building

approvals declined by

16.3 % Sh

74.2 B

Sh 52 B

28.2 % 9.3%

From

Commercial office building

approvals declining by

From

Status of the Built Environment 2017 is an

article authored by the Architectural Association of Kenya

(AAK). AAK is a body that brings together professionals

from the Private Sector, Public Sector and Academia.

For more information, please contact:

The AAK Secretariat

Blue Violets Plaza, 6th Floor, Rm 605

Off Kindaruma Road, Off Ngong Road

Tel: 020 2224806/0721 691 337

www.aak.or.ke

Blue Violets Plaza, Kamburu Drive, off Ngong Road.

P.O. Box 44258 Nairobi, 00100

Telephone: +254-020-2420806, 2420582 | Mobile: +254 721 691 337

Email: aak@aak.or.ke • Website: www.aak.or.ke

STATUS OF THE BUILT ENVIRONMENT • ISSUE NO. 1 • DECEMBER 2017

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

ArchKE @arch_ke arch_ke

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible


17

18

KPDA Register of Members

KPDA Register of Members

KPDA Directory of Members in Goodstanding as at 4 th April 2018

In order to join KPDA, the following should be

submitted to the KPDA Secretariat:

1. Fill the KPDA Membership Application

Form and sign the KPDA Code of Conduct;

2. Attach a copy of your company’s

Certificate of Registration or Certificate of

Incorporation

3. Attach a copy of your company’s KRA PIN

Certificate; and

4. Make the relevant payment

Submission may be made either physically or

electronically.

Kindly contact the Membership Relations Officer,

Cynthia Wakio through the telephone number

0737 530 290 or 0705 277 787 or by email

ceo@kpda.or.ke.

Kenya Property Developers Association

Fatima Flats, Suite 4 B

Marcus Garvey Road off Argwings Kodhek Road,

Kilimani Area

P. O. Box 76154 - 00508

NAIROBI, KENYA

Telephone: +254 737 530 290/0705 277 787

Website: www.kpda.or.ke

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Kindly contact the Membership Relations Officer, Cynthia Wakio through the telephone number

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THIS COULD BE YOU - Join KPDA

WHY JOIN THE KPDA FAMILY?

The Kenya Property Developers Association was established in Nairobi in 2006 as the

representative body of the residential, commercial and industrial property development sector in

Kenya. It is an emerging Business Member Organisation which works in proactive partnership

with policy-makers, financiers and citizens to ensure that the property development industry grows

rapidly but in an organized, efficient, economical and ethical manner.

Working

closely with

government

institutions

KPDA

MEMBER

Strategic

partnerships to

ease land

processes

Working

closely with

regulatory

authorities

Opportunities for

forming joint

ventures with

national and

international

industry players

CLASSIC MOULDINGS

LTD

GALAXY HERITAGE

LTD

STEEL STRUCTURES

LTD

FOCUS ON PROPERTY

LTD

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from KPDA Partner

from KPDA Partner

Solutions staff will be present during day time.

The Adopt A Road Faqs

Upper Hill District Association(UHDA) have forged a partnership with Taka Taka Solutions, a waste

management company, to bring to Upper Hill the Adopt A Road Initiative. It is a sustainable solution towards

making Upper Hill a litter free zone.

1. How does Adopt-A-Road work?

TakaTaka Solutions, in partnership with UHDA and NCC, will offer the following:

• Public area (street) waste collection and recycling services

• A building (or multiple buildings/companies) can adopt a section of a public road

• TakaTaka Solutions will offer the following services for the adopted road section

1. Installation of recycling bins (with branding and signage)

2. Daily waste collection and subsequent recycling of the waste

3. Street cleaning for the adopted road section

4. Quarterly reports detailing waste collected and

recycled

the

The bins will be

1. Bin as a whole:

1.8m high (bin +

sign), 60cm wide

2. Sign only:

58x82cm

2. Is there a limit on the extent

of road one can adopt?

There is no limit. However, the minimum road

section should not be less than 500m.

3. How many bins will be on a

road and what are the sizes?

The number of bins will depend on the amount of

waste produced. For example, if food vendors are

in the vicinity, more bins will be needed. Generally

speaking, one bin for every 100-200 meters is

planned. Sizes:

• Bin as a whole: 1.8m high (bin + sign),

60cm wide

• Sign only: 58x82cm

4. Can the bins be customized

according to a property owner's

liking?

The bin itself cannot be customized. There is

some level of flexibility with regards to the sign.

5. Is there a way to ensure that

bins are not vandalized?

cemented into the ground. Moreover, TakaTaka

6. Who will cater the cost when the

bins have been vandalized?

Maintenance and repairs of bins will be managed by

TakaTaka Solutions.

7. Is the Adopt-A-Road limited to

property owners only?

Adopt-a-Road is also open to tenants or other organisations.

8. With the ban of plastic bags,

will the bins be lined with garbage

liners?

The bins will not be lined with garbage liners. However, they

will be regularly cleaned by TakaTaka Solutions.

9. Will the property owner have

to pay Nairobi City County for

sponsoring the bins?

Adopt-a-Road works similarly to the concept of maintaining

public roundabouts. As a public service is offered and no

direct advertisement is done (only the logo displayed), there

should be no fees to NCC.

This is why its important that the content of the sign does

not go into a marketing direction (beyond acknowledging the

adopting of the road).

10. Other than keeping the road

clean, how else does a property

owner benefit?

• All the waste collected will be recycled

• Quarterly recycling reports will be sent to each

sponsor detailing waste quantities collected and

recycled.

• Sponsorship opportunity

11. What is the duration of the Adopt-

A-Road?

Any contract will be signed for an initial period of one year.

However, the idea is to make this a continual initiative so that

Upper Hill’s road remain clean.

12. How will property owners

monitor the progress of the roads?

• Step out of your building

• Recycling reports

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from KPDA Partner

from KPDA Partner

align leadership, improve cross-sector collaboration, and build new models of inclusive governance to drive

effective planning and project delivery.

Cities now contribute to a vast and growing equity gap. Globally, a number of complex issues are

colliding: income, education, and health disparities that sit at the root of social unrest; blight and ecological

degradation; and the growing threat of climate change. Neighborhoods are the Soul & Lifeblood of the city.

Sustainability Needs

To Be Scaled From A

Neighbourhood Level

It has been a tradition in Kenya for developers to Master plan their development projects into gated

communities and mixed-use developments-a recent phenomenal. Gated communities convey a sense of

place and social exclusivity, perceptions the developers have capitalized on to fuel their greatest desire at

this point which is to sell as many units as possible in the development and as fast as possible in order to

move on to the next project development and so on.

Now, when you take Nairobi as a benchmark and sift through property marketing material, you will notice the

prominence of exclusivity in addition other unique selling features like security, internet & cable connectivity,

sense of place, green infrastructure and sustainability features. This was not the case some years ago.

These selling propositions are an improvement to overcome deficiencies that have seen yesteryear flagship

estates like Buruburu and Woodley end up in premature decay. Although property values have gone up with

time in these neighbourhoods for example, these values have failed to reflect the true picture of what would

have been their actual values at this point in time.

As developers continue to build houses to cater for the housing deficit that currently plaques Kenya, they

will have to integrate sustainability from a neighbourhood scale. Sustainability and resilience are becoming

major drivers of property investment decision because of their ability to future proof real estate investments.

With hundreds of millions of people moving into cities worldwide and trillions of shillings being spent to

accommodate this growth over the next 30 years, Developers and investors should see this as a major

opportunity to promote a range of neighborhood-scale sustainability best practices that simultaneously

address equity, resilience, and climate protection.

In order for sustainable neighbourhood to thrive, developers will have to look beyond the physical

environment. They will have to look at the people who live around their neighbourhood developments

and those who will live in those upcoming neighbourhoods under their development. This will mean doing

more than just having a facilities or property management company on board. Rather, it will necessitate

establishing community engagement and governance structure for a development that will be able to

address equity, resilience and climate protection. Developers will have to embrace and incorporate new

models of urban regeneration to empower just, resilient, sustainable neighborhoods for all.

This is because, for far too long, urban regeneration has been primarily about brick-and-mortar solutions

to building and rehabilitating neighborhoods. The world of city building has drastically changed, and it

requires a more diverse and more integrated range of solutions to empower social vibrancy and

restore ecological health. Success hinges on building robust public-private-civic partnerships to

Neighborhoods sit at the heart of some of the most complex challenges facing city makers today. But they

can also become the building blocks of sustainable cities. Neighborhoods provide a uniquely valuable scale

to introduce and accelerate investments that can achieve profound improvements in equity, resilience, and

climate protection. Neighborhoods are the right scale to accelerate sustainability because they are small

enough to innovate and big enough to leverage meaningful investment and public policy impact. How we

build our cities — from the neighborhood up — is the biggest challenge of our lifetime.

To foster this new model and era of urban regeneration and property development, developers will have

to accept a new rigorous sustainable urban development framework for achieving people-centered,

economically vibrant, planet-loving, neighborhood- and district-scale sustainability. Such a

framework puts a comprehensive lens on every urban regeneration decision, drives the delivery of

meaningful performance outcomes, and sets the conditions for sustainable, collective impact.

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from KPDA Partner

Sustainability Needs To Be Scaled

From A Neighbourhood Level

Free Accreditation is now on until

31st March 2018

At the moment, some neighbourhoods in major cities in Kenya have already outlived their builders. The

builders are no longer there to witness the inefficiencies and inequalities their developments have left in their

wake and the fertile grounds for avarice and corruption they created within the land development ecosystem.

In conclusion, it is time that developers start to integrate performance-based frameworks like Green Star

Communities to build resilience and sustainability in their neighbourhood-scale projects because that will be

a key driver to strong sales. After the recent desertification warnings, property buyers will want to know tree

cover ratio vis-à-vis a development, sustainability and other green infrastructure features before investing in

certain properties. The investing public no longer want to buy into a neighbourhood development that will,

in less than 15 years, end up like the Buruburus and Woodley estates that were the glamour estates of the

early 1980s.

The writer, John Kabuye Kalungi is a Building Surveyor

and sustainability consultant at BESIC Group ltd. He

is also the Vice Chairperson & Head of Advocacy

Committee at the Kenya Green Building Society.

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Photo Gallery of 2017 KPDA Events

Photo Gallery of 2017 KPDA Events

KPDA Learning and Development Symposium

at the Bowmans (Coulson Harney) Advocates –

ICEA Lion Centre, West Wing on Monday 4th

and Tuesday 5th December 2017

Theme: ‘The JBC Contract: What Every Developer Should Know’

KPDA End of Year Corporate Networking

Koroga Event at the Mint Shack Restaurant,

Nairobi, Thursday, 19th October 2017

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Photo Gallery of 2017 KPDA Events

Photo Gallery of 2017 KPDA Events

KPDA End of Year Corporate Networking Koroga Event at the

Mint Shack Restaurant, Nairobi, Thursday, 19th October 2017

KPDA CEO Breakfast Forum at the Hotel Royal

Orchid, Nairobi, Tuesday, 23rd May 2017

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Photo Gallery of 2017 KPDA Events

Photo Gallery of 2017 KPDA Events

KPDA CEO Breakfast Forum at the Hotel Royal Orchid,

Nairobi, Tuesday, 23rd May 2017

KPDA / MRM Meet and Greet Koroga Event

at Koroga Country Club - Nyali, Mombasa,

Thursday, 27th April 2017

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Photo Gallery of 2017 KPDA Events

Photo Gallery of 2017 KPDA Events

5th KPDA AGM and Koroga Event,

Friday, 31st March 2017

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Photo Gallery of 2017 KPDA Events

Photo Gallery of 2017 KPDA Events

5th KPDA AGM and Koroga Event,

Friday, 31st March 2017

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Photo Gallery of 2017 KPDA Events

Photo Gallery of 2017 KPDA Events

KPDA Learning and Development Symposium

at the offices of Bowmans (Coulson Harney)

Advocates – ICEA Lion Centre,

Tuesday, 7th March 2017

Theme: ‘Understanding Construction Contracts’

Construction Health and Safety Breakfast

Forum at the Crowne Plaza Hotel, Nairobi,

Tuesday, 21st February 2017

Theme: 'Occupational Health and Safety Standards

in the Kenyan Construction Industry’

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Photo Gallery of 2017 KPDA Events

NCCG Building Permitting Report – Jan – FEB 2018

CEO Breakfast Forum at the Crowne Plaza

Hotel, Nairobi, Tuesday, 17th January 2017

Theme: ‘Launch of the NCA Online Project

Registration Platform’

THE KPDA NAIROBI CITY

COUNTY GOVERNMENT (NCCG)

BUILDING PERMITTING

APPROVALS REPORT

JANUARY TO FEBRUARY 2018

The value of

approved permits

(for the period

January– February

2018) represents

over Kshs. 23.6

billion worth

of development

projects and

permitting fees

collected were

over Kshs. 134.9

Million for the

period January –

February 2018

The 2018 KPDA NCCG Building Permitting Approvals Activity Report provides a

summary of statistical information on planning permitting activity in Nairobi for the

period January to February 2018. Only statistics received from the Nairobi City

County Government, Urban Planning Department have been used as references.

This report uses building permitting approval requests submitted to the

Nairobi City County Government which are then analysed and approved

by a specialist committee appointed by the Urban Planning Department

of the Nairobi City County Government. The report contains information

on applications that have been approved by the specialist committee

highlighting development locations, types, values, application revenues

and process performances.

SUMMARY STATISTICS

A total of 390 planning permit applications were approved from

January to February 2018 with January having the highest

number of approvals (232) and February having the least (158).

Other key statistics from this report include:

The value of approved permits (for the period January –

February 2018) represents over Kshs. 23.6 billion worth

of development projects and permitting fees collected

were over Kshs. 134.9 Million for the period January –

February 2018;

During this period, the highest value of buildings

submitted for approval was Kshs. 3,000,000,000 (Kshs. 3

billion) by Soma Properties Ltd (Proposed Alterations And

While every reasonable effort is made to ensure that the information

provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the

KPDA by the Nairobi City County Physical Planning Department.

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NCCG Building Permitting Report – Jan – FEB 2018

NCCG Building Permitting Report – Jan – FEB 2018

Additions - Shops, New Lifts Wells, Fire Escapes

Stairs, Washrooms & Loading Bays to App Plan

Sarit Centre Shopping Mall) and the maximum

submission fee paid was Kshs. 7,656,680 by Ever

Forgarden Company Limited.

On average the estimated value of building

developments approved was Kshs. 60,462,689 and

that of the submission fee was Kshs. 346,003.

Based on the Kenyan Building Code of 1997,

this report depicts permits that were issued in the

PERMIT APPLICATION ACTIVITY BY SUB-COUNTY

following average percentages in accordance to the

named classifications below:

• 78.2% (305) - Domestic Class (commercial

developments, domestic buildings and offices)

• 13.6% (53) - Public Class (social halls,

religious buildings, libraries, schools, etc.)

• 8.2% (32) - Warehouse Class (industries,

factories, and go downs)

The statistics show that approved proposed

developments of the Domestic Classification had

the highest level of approvals issued.

BUILDING CLASS BY LOCALITY

The graph indicates Karen

being the area with the

highest number of Domestic

Class approvals. This signals

a new settlement area for

Nairobi’s residents.

DWELLING RELATED ACTIVITY ACROSS NAIROBI

Buildings approved included domestic

buildings, commercial developments,

offices, religious buildings, social halls,

libraries, schools, factories, industries and

go downs. The following graph identifies

permit applications that relate to various

building classes.

The highest permits were approved in the areas of Westlands, Langata, Dagoretti North, Embakasi East,

Roysambu and Kasarani.

• Westlands has the highest percentage of permits locality-wise.

• Dagoretti South, Makadara and Kamukunji have the least number of permits amongst the top

10 areas of development.

It can be noted that 78.21% of

the planning submitted under

the building class category were

domestic class which includes

domestic buildings, commercial

developments and offices.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

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NCCG Building Permitting Report – Jan – FEB 2018

NCCG Building Permitting Report – Jan – FEB 2018

NUMBER OF APPROVALS BY ZONAL USER DENSITY

GRAPH DEPICTING VALUE OF PROJECTS APPROVED

1. The Residential Class accounted for 78.46% of the approvals

2. Commercial Class buildings accounted for 2.821% of the approvals

3. Public Class buildings accounted for 11.28% of the total approvals

4. ndustrial Class buildings accounted for 7.179% of the total approvals

5. One development was unaccounted for (N/A) at 0.256%

259 buildings presented for approvals were valued between Kshs.1 million and Kshs. 50 million while only

1 building was valued over Kshs. 1 billion. Most of these buildings were in the residential category.

GRAPH DEPICTING LENGTH OF TIME TAKEN FOR PROJECT APPROVALS

GRAPH DEPICTING PERIOD OF APPROVALS ON A MONTHLY BASIS

Most of the permits took

less than a month to be

approved.

The Month of January

had the highest number

of approvals, with 232

approvals and February

had the lowest at 158.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

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NCCG Building Permitting Report – Jan – FEB 2018

NCCG Building Permitting Report – Jan – Dec 2017

COMPARATIVE ANALYSIS BETWEEN THE TWO MONTHS OF JAN - FEB 2018

MONTH

JAN (KSHS)

FEB(KSHS)

ESTIMATED VALUE 13,502,513,826 10,077,935,149.40

SUBMISSION FEE 73,827,473 61,113,934

BUILDING

CLASS

APPROVALS

DOMESTIC

PUBLIC

WAREHOUSE

187

29

16

Domestic buildings continue to have the highest number of approvals.

118

24

16

FOR MORE INFORMATION, KINDLY

CONTACT THE KPDA SECRETARIAT

Kenya Property Developers Association

Fatima Flats, Suite 4B

Marcus Garvey Road

Off Argwings Kodhek, Kilimani Area

P. O. Box 76154 – 00508 Nairobi, Kenya

Telephone: +254 737 530 290/0705 277 787

Email: ceo@kpda.or.ke

Website: www.kpda.or.ke

THE KPDA NAIROBI CITY

COUNTY GOVERNMENT (NCCG)

BUILDING PERMITTING

APPROVALS REPORT

JANUARY TO DECEMBER 2017

SOURCE

The 2017 KPDA Building Permitting Activity Report provides a summary of

statistical information on planning permitting activity in Nairobi from January to

December 2017. During this reporting period, only statistics from the Nairobi City

County Government are used as references. This report uses standardized

data submitted to the Nairobi City County Government. The report highlights

information on applications received, development locations, types and

values, department revenue from applications and permit processing

performance.

STATISTICS

A total of 2,120 building permit applications were approved from

January to December 2017 with the last quarter having the highest

number of approvals attributed to the long electioneering period.

Other key statistics from this report include:

Value of approved permits represents over Kshs.108.7

billion (108,666,025,515) worth of development projects and

permitting fees collected were Kshs.951.99 Million (951, 987,

789.1);

During 2017 the highest valued building submitted

for approval stood at Kshs. 5,367,000,000 (Proposed

amendment to mixed development) by Rossyln Property

Holdings Ltd and the maximum submission fee paid was

Kshs. 57,658,610.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

BRITAM Towers, Nairobi

While every reasonable effort is made to ensure that the information

provided in this report is accurate no guarantee for the currency or accuracy

of information is made. The permitting data was provided to the KPDA by the

Nairobi City County Physical Planning Department.

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NCCG Building Permitting Report – Jan – Dec 2017 NCCG Building Permitting Report – Jan – Dec 2017

On average the estimated value of building

developments approved was Kshs. 51,281,749 and

that of the submission fee was Kshs. 450,538.

Building permits that were issued in accordance

to the named classifications below:

• 80.1% (1699) - Domestic Class (commercial

developments, domestic buildings and offices)

• 11.2% (237) - Public Class (social halls,

religious buildings, libraries, schools, etc.)

PERMIT APPLICATION ACTIVITY BY SUB-COUNTY

• 8.7% (184) - Warehouse Class (industries,

factories, and go downs)

The statistics show that in the year 2017 Domestic

classifications were most approved proposed

developments due to the ever increasing need

for housing by Kenyans and especially affordable

housing and ownership of homes by the middle

class.

DWELLING RELATED ACTIVITY ACROSS NAIROBI

Buildings approved included

domestic buildings, commercial

developments, offices, religious

buildings, social halls, libraries,

schools, factories, industries

and go downs. The following

graph identifies permit

applications that relate to

various building classes.

It can be noted that 80.14% of

the planning submitted under

the building class category were

domestic class which includes

domestic buildings, commercial

developments and offices.

BUILDING CLASS BY LOCALITY

The highest permits were approved in the areas of Karen, Westlands, Lang’ata, Starehe and Roysambu.

• Karen has the highest percentage of permits locality-wise. This is as a result of the revised zoning

policy that allowed construction of apartments.

The Neighborhood has an organized road network, with the Southern Bypass being the key. The

high number of permits in the Karen area are also very likely due to the fact that rent or property

owning in Karen attracts high revenue. This is a likely factor that developers considered in achieving

better return on capital;

• Muthaiga had the least number of permits amongst the top 18 areas of development regardless of

being very close to the CBD. Embakasi, Mathare and Kibra areas attracted fewer developments due

to traffic and building congestion and civil unrest especially during the election period.

The highest

development

permits in the

year 2017 were

approved in Karen,

Industrial Area,

Westlands, Runda

and Eastleigh

with domestic

infrastructures

dominating in these

areas except from

the Industrial area

where most of

them were factories

and warehouses.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

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NCCG Building Permitting Report – Jan – Dec 2017 NCCG Building Permitting Report – Jan – Dec 2017

NUMBER OF APPROVALS BY ZONAL USER DENSITY

MONTHLY PERMIT PROCESSING GRAPH

The Residential Class accounted

for 74.91% of the approvals due

to an increase in the middle aged

working population who consider

owning a home more crucial than

renting one and also high demand

by Kenyans to own homes. Most

of developers have invested more

on Residential developments which

are more profitable due to the

growing demand. There has been

an improvement in security within

the nation which has resulted in an

influx in foreign residents in Kenya

thus increasing the demand for

residential houses (in particular wellfurnished

residential infrastructures)

mostly in the high end areas.

Commercial Class buildings

accounted for 4.67% of the

approvals.

The Month of

November recorded

the highest number of

approvals, with 363

approvals.

January recorded the

highest number of

approvals in the first

quarter.

There were no

permitting in the

months of August,

September and

October due to the

electioneering period.

This explains the high

number of permitting

that took place in

November as there

was a backlog.

THE VALUE OF BUILDING PERMITTED BY THE NAIROBI CITY COUNTY GOVERNMENT

APPROVAL RATE BY THE NAIROBI CITY COUNTY GOVERNMENT

TO CARRY OUT BUILDING PERMITTING

60.17% of the

buildings presented

for approval were

valued between

five million and one

hundred million.

Only a paltry 0.28%

of the buildings

were above one

billion shillings.

It took more than a

month for most of

the building permit

applications to

be approved with

most being done

between 31 and 90

days. This delay

in the approval

process can be

attributed to the

long election period

witnessed last year.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

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NCCG Building Permitting Report – Jan – Dec 2017

NUMBER OF APPROVALS BY ZONAL USER DENSITY

-

SUBMISSION FEE

ESTIMATED VALUE

BUILDING

CLASS

APPROVALS

600

500

400

300

200

100

0

426

DOMESTIC

PUBLIC

WAREHOUSE

2017 QUARTERS

1 st QUARTER 2 nd QUARTER 3 rd QUARTER 4 th QUARTER

Kshs241,603,260

426

54

53

Kshs251,512,600.1

487

60

50

Kshs203,200,176

Kshs255,671,753

Kshs25,925,816,662 Kshs27,303,406,213 Kshs20,826,088,818 Kshs34,610,713,822

The highest estimated value was recorded during the October to December quarter

of the year with the least average value being July to September Quarter.

Building Class Approvals by Quarters

487

54 53 60 50

Building Class TOTAL

D P W

Q1 426 54 53 533

Q2 487 60 50 597

Quarter

235 32 23 290

Q3

551 91 58 700

Q4

TOTAL 1699 237 184 2120

235

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

551

Q1 Q2 Q3 Q4

D P W

32

23

91

58

235

32

23

552

91

58

Domestic buildings have

the highest number of

approvals and most were

approved in the fourth

quarter (551). Public

amenities such as social

halls came in second

with most approvals

taking place in the fourth

quarter (91).

FOR MORE INFORMATION,

KINDLY CONTACT THE

KPDA SECRETARIAT

Kenya Property

Developers Association

Fatima Flats, Suite 4B

Marcus Garvey Road

Off Argwings Kodhek,

Kilimani Area

P. O. Box 76154 – 00508

Nairobi, Kenya

Telephone: +254 737 530

290/0705 277 787

Email: ceo@kpda.or.ke

Website: www.kpda.or.ke

While every reasonable effort is made to ensure that the information provided in this report is accurate no guarantee for the currency or

accuracy of information is made. The permitting data was provided to the KPDA by the Nairobi City County Physical Planning Department.

THE KENYA PROPERTY DEVELOPERS ASSOCIATION

POLICY POSITION PAPER MATRIX, 2018

NO. ISSUE (S) PROPOSED SOLUTION (S) ACTION (S) BEING

TAKEN/PROGRESS

REPORT

1. LAND REFORMS

a. Lack of efficiency and

corruption in land

processes

b. Pending Policy, Legal and

Institutional Reforms

c. Lack of land reforms

d. Lack of adherence to

service charters

2. URBANIZATION ISSUES

Integrated Development

Plans

1. Complete the modernization of all the Land

Registries;

2. Provide direction on the change of user process;

3. Develop, implement and operationalize the

National Land Information Management System

(NLIMS);

4. Complete and operationalize the CORS and

modernize the Geodetic Reference Framework;

5. Develop, complete and operationalize the National

Land Use Policy and where necessary realign or

develop relevant legislations;

6. Complete the updating of topographical maps;

7. Completion of the development of the land law

regulations to operationalize the Land Registration

Act 2012, Community Land Act and the Land Act

2012;

8. Anchor the 2009 Revised Building Code in an Act;

9. Complete the Land Valuation Index Act;

10. Provide direction on Extension and

Renewal of Land Leases;

11. Complete the Land Adjudication Program and issue

relevant land titles;

12. The Central Project Planning Unit of the Ministry

work with the private sector to address the issue of

strengthening monitoring and evaluation (M & E);

13. Review the 1987 Sectional Properties Act and the

National Land Policy;

14. Fast track the Physical Planning Bill;

15. Develop Regulations for the Land Laws Amendment

Act, Community Land Act and Land Registration

Act;

16. Develop a Land Valuation Index;

17. Review the Survey Act CAP 299;

18. Review the Valuers Act CAP 532;

19. Review the Estates Agents Act CAP 533.

i. Lack of adequate human resources in terms of

professionals in the counties

ii. Lack of prioritization of the issue by Country

Governments

i. Develop a technical

assistance and

support programme

to County

Governments in

planning,

urbanisation and

infrastructure

development

ii. Establish the status

of Physical

Development Plans

for Resort Cities

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible


54

3. HOUSING ISSUES

a. Lack of adequate housing

for Kenyans

b. Lack of an adequate

number of affordable

houses

c. Lack of adequate policy,

legal and institutional

reforms

d. Lack of uptake of REITs

in Kenya

4. COUNTY GOVERNMENT ISSUES

a. Incomplete Nairobi City

County Zoning Policy

b. Counties lack Spatial

Plans

1. Jointly lobby for changes to the Act (proposal to

apply for exemption of special purposes vehicles

owned by REITS which CMA is now taking up with

KRA)

2. Develop and implement innovative housing finance

issues

3. Establish a secondary Mortgage Finance Corporation

4. Development of the Metropolitan Policy

5. Implementation of the Sessional Paper No. 3 of 2012

on Population Policy for National Development

6. Formulation and implementation of the Urban

Development Policy

7. Review and harmonization of legal and institutional

framework governing urbanization

8. Enactment of the amendments of the Urban Areas

and Cities Act No. 13 of 2011

9. Enactment of the Urban Areas and Cities

Amendment Bill 2015

10. Creation of the Urban Development Fund

11. Creation of the Nairobi Metropolitan Transport

Authority (NAMATA)

12. Continue to develop supportive legislation and

implementation of the National Housing Policy No. 3

of 2004

13. Enactment of the Housing Bill 2017

14. Review and adoption of the National Building

Maintenance Policy 2012

15. Adoption of the National Building Regulations 2012

to replace the Building Code

16. Formulation of the following policies; National Slum

Prevention and Upgrading Policy, Housing

Infrastructure Framework, Leasing and

Accommodation

17. Establishment of the National Housing Development

Fund

18. Enactment of the Built Environment Bill 2012

19. Enactment of the Landlord and Tenant Bill

1. Implement the National Spatial Plan;

2. Complete and implement County Spatial Plans and

to ensure that they are in line with the National

Spatial Plan and provide necessary legislation;

iii. Continued

development of the

24 hour economy

5. TAX AND TAX ADMINISTRATION ISSUES

Poor administration of taxes 1. Remove or lower VAT on sale of commercial

property

2. Exempt Capital Gains Tax for transactions between

related parties.

3. Remove/lower compensating tax for developers

4. Tax incentives for affordable housing (list from the

taskforce)

For more information, kindly contact the Membership Relations Officer, Cynthia Wakio through the

telephone number 0737 530 290 or 0705 277 787 or by email membership@kpda.or.ke.

Towards Real Estate Development that is Value Driven, Sustainable and Socially Responsible

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